distribution costs

Shipping and handling

Distribution costs are the expenses incurred in getting products from manufacturer to customer.

These include transportation, warehousing, inventory management, packaging, and handling fees.

In accounting, distribution costs are typically separated from production costs: Our distribution costs doubled when we expanded to international markets.

The term appears frequently in supply chain analysis and pricing decisions.

Related

return policies · storage facilities · labeling · inventory management · shipping · cold storage · truck · stock rotation · logistics · supply chain · drop shipping · order fulfillment · just in time · fuel · carbon footprint · training programs · tracking systems · air cargo

Opposites
supply chain stage

distribution costsmanufacturing costs

Expenditures for creating products

production costs · production expenses · development costs

cost direction/flow

distribution costssales revenue

Income from selling products

gross receipts · revenue

Family

distribution, costs, distribute, distributes, distributed, distributing, distributor, distributors, distributive

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